ADDITIONAL COMMISSIONER OF INCOME TAX Vs. SITARAM RATHI

JUDGEMENT

(1.) IN pursuance of this Court's order dt. 25th Jan., 1978 the Tribunal Patna Bench, Patna, has submitted a Statement of Case and referred the following question of law for opinion of this Court under S. 256(2) of the INCOME TAX ACT, 1961 (hereinafter referred to as the Act) :

(2.) THE assessee went before the Tribunal. The Tribunal found that the grounds for refusing registration by the ITO and the AAC could not be taken as valid ground and if the assessee made a proper application for registration and if the partnership was duly constituted by the partnership deed and also if the profit was allocated in terms of the partnership in the books ; the registration could not be rejected.

(3.) THE Id. Senior standing counsel for the revenue has contended that the registration could not be allowed without there being a specific finding that the firm was a genuine one.